OneMain Holdings Inc (OMF) 2024 Q3 法說會逐字稿

Good day, everyone, and welcome to today's OneMain financial Q3 2024 earnings call. (Operator Instructions) Today's call is being recorded. I will be standing by if you should need any assistance.

大家好，歡迎參加今天的 OneMain 2024 年第三季財務財報電話會議。（操作員說明）今天的通話正在錄音。如果您需要任何幫助，我將隨時待命。

It is now my pleasure to turn the conference over to Mr. Peter Poillon.

現在我很高興將會議交給 Peter Poillon 先生。

Thank you, operator. Good morning, everyone, and thank you for joining us. Let me begin by directing you to page 2 of the third-quarter 2024 investor presentation, which contains important disclosures concerning forward-looking statements and the use of non-GAAP measures. The presentation can be found in the Investor Relations section of the OneMain website.

謝謝你，接線生。大家早安，感謝您加入我們。首先，我將引導您閱讀 2024 年第三季投資人簡報的第 2 頁，其中包含有關前瞻性陳述和非公認會計準則衡量標準使用的重要揭露。此簡報可以在 OneMain 網站的投資者關係部分找到。

Our discussion today will contain certain forward-looking statements reflecting management's current beliefs about the company's future financial performance and business prospects. And these forward-looking statements are subject to inherent risks and uncertainties and speak only as of today. Factors that could cause actual results to differ materially from these forward-looking statements are set forth in our earnings press release. We caution you not to place undue reliance on forward-looking statements.

我們今天的討論將包含某些前瞻性陳述，反映管理層目前對公司未來財務表現和業務前景的信念。這些前瞻性陳述受到固有風險和不確定性的影響，並且僅在今天發表。我們的收益新聞稿中列出了可能導致實際結果與這些前瞻性陳述有重大差異的因素。我們提醒您不要過度依賴前瞻性陳述。

If you may be listening to this via replay at some point after today, we remind you that the remarks made herein are as of today, October 30, and have not been updated subsequent to this call. Our call this morning will include formal remarks from Doug Shulman, our Chairman and Chief Executive Officer; and Jenny Osterhout, our Chief Financial Officer. After the conclusion of our formal remarks, we will conduct a question-and-answer session.

如果您可能在今天之後的某個時間透過重播收聽此內容，我們提醒您，本文中的言論截至今天 10 月 30 日，並且在本次電話會議之後尚未更新。我們今天早上的電話會議將包括我們的董事長兼執行長 Doug Shulman 的正式演講；以及我們的財務長 Jenny Osterhout。正式發言結束後，我們將進行問答環節。

I'd like to now turn the call over to Doug.

我現在想把電話轉給道格。

Thanks, Pete. Good morning, everyone, and thank you for joining us today. We feel very good about our results for the quarter and year to date. Credit results are trending in a positive direction, and we continue to make good progress on our strategic initiatives to position OneMain for success in the years to come.

謝謝，皮特。大家早安，感謝您今天加入我們。我們對本季和今年迄今的業績感到非常滿意。信貸結果正朝著正面的方向發展，我們的策略性舉措持續取得良好進展，使 OneMain 在未來幾年取得成功。

Capital generation was $211 million, and C&I adjusted earnings were $1.26 per share this quarter, both up significantly from last quarter. Our receivables grew 11% year over year, driven by an increase in loan originations and our expanded product offerings, while total revenue grew 8%.

本季資本生成為 2.11 億美元，C&I 調整後每股收益為 1.26 美元，均較上季大幅成長。在貸款發放增加和產品供應範圍擴大的推動下，我們的應收帳款年增 11%，而總收入成長 8%。

Despite our very tight underwriting posture, third-quarter origination volume grew 13% year over year. This is the first time since we tightened our credit box more than two years ago, that we've seen year-over-year growth in originations, and we expect to see continued growth going forward.

儘管我們的承保情況非常緊張，但第三季的承保量仍年增 13%。這是自兩年多前我們收緊信貸以來，我們首次看到發起量同比增長，並且我們預計未來將持續增長。

The momentum we saw this quarter in originations was the result of two factors that I discussed briefly last quarter, the current constructive competitive environment and our continued use of granular data analytics and product innovation to find profitable pockets of growth. We are pleased to have strong originations even as we maintain a tight underwriting posture.

本季我們在新創公司中看到的勢頭是我上季度簡要討論過的兩個因素的結果，即當前的建設性競爭環境以及我們繼續使用精細數據分析和產品創新來尋找有利可圖的增長點。儘管我們保持著嚴格的承保態勢，但我們很高興擁有強勁的資金來源。

Turning to credit, any way you look at it, we like the trends we are seeing. Our 30- to 89-day delinquency was 3.01%, which is down 27 basis points year to date as compared to down 9 basis points last year and only down 12 basis points on average in pre-pandemic years. These better-than-normal seasonal trends hold true for the quarter-over-quarter movements as well. Delinquency was up 4 basis points from last quarter as compared to up 22 basis points last year in the same quarter and up 18 basis points on average pre-pandemic.

談到信用，無論你怎麼看，我們都喜歡我們所看到的趨勢。我們的 30 至 89 天拖欠率為 3.01%，今年迄今下降了 27 個基點，而去年下降了 9 個基點，而且在大流行前幾年平均僅下降了 12 個基點。這些好於正常的季節性趨勢也適用於季度環比變動。拖欠率較上季上升 4 個基點，去年同季則上升 22 個基點，疫情前平均上升 18 個基點。

These positive credit trends are a result of the swift action we took on credit two years ago, our disciplined underwriting since that time, our unique business model, and an unparalleled understanding of how to best serve the non-prime consumer. Net charge-offs were 7.5% in the quarter, down about 100 basis points from last quarter and consistent with our expectations given the delinquency levels earlier in the year. Our credit trends make us feel very positive about the earnings trajectory of our business.

這些積極的信貸趨勢是我們兩年前對信貸採取的迅速行動、自那時以來我們嚴格的承保、我們獨特的商業模式以及對如何最好地服務非優質消費者的無與倫比的理解的結果。本季淨沖銷率為 7.5%，比上季下降約 100 個基點，與我們考慮到今年稍早的拖欠水準的預期一致。我們的信貸趨勢使我們對我們業務的獲利軌跡感到非常樂觀。

Barring a recession, we believe we saw peak losses in our consumer loan business in the first half of 2024. We expect this will lead to growth in capital generation in 2025 and future years. And continued positive macroeconomic trends like lower interest rates, stable employment, and reduced inflation could provide even more tailwinds going forward.

除非出現經濟衰退，否則我們認為 2024 年上半年我們的消費貸款業務將出現虧損高峰。我們預計這將導致 2025 年及未來幾年資本生成的成長。較低的利率、穩定的就業和降低的通膨等持續的積極宏觀經濟趨勢可能會為未來提供更多的推動力。

Our strong balance sheet and mature funding program continue to stand out as clear competitive advantages for us. In August, we completed a $750 million unsecured social bonds at an interest rate of just over 7%. The net proceeds of the offering will finance loans to individuals residing in credit-insecure or credit-at-risk counties as defined by the Federal Reserve. This kind of focused lending is part of the fabric of OneMain and illustrates how we provide responsible access to credit across the entire nation.

我們強大的資產負債表和成熟的融資計劃繼續成為我們明顯的競爭優勢。8 月份，我們以略高於 7% 的利率完成了 7.5 億美元的無擔保社會債券。此次發行的淨收益將為居住在聯準會定義的信用不安全或信用風險縣的個人提供貸款。這種集中貸款是 OneMain 結構的一部分，說明了我們如何在全國範圍內提供負責任的信貸管道。

Moving to our newer products, both auto finance and credit cards are important parts of our commitment to help more customers meet their needs today and progress to a better financial future while driving profitable growth for our shareholders. We now have about 3.3 million customers, and our multiple products are allowing us to meet more consumers with different needs and at different times in their financial journey.

轉向我們的新產品，汽車金融和信用卡都是我們承諾的重要組成部分，我們致力於幫助更多客戶滿足當今的需求，邁向更美好的財務未來，同時推動股東的獲利成長。我們現在擁有約330萬客戶，我們的多種產品使我們能夠滿足更多在金融旅程的不同時期有不同需求的消費者。

Auto finance receivables were $2.3 billion at quarter end. Credit performance in the auto business remains in line with our expectations and better than comparable industry performance. The integration of Foursight is going well, and we are now operating our entire auto finance business under the OneMain auto brand.

截至季末，汽車金融應收帳款為 23 億美元。汽車業務的信用表現仍符合我們的預期，並且優於可比較產業的表現。Foursight 的整合進展順利，我們現在以 OneMain 汽車品牌經營整個汽車金融業務。

All of the moving parts of the integration are progressing on plan, including technology platform consolidation, data integration, vendor cost consolidation, and more. We feel great about our competitive positioning in the auto business and now have the capability to serve both franchise and independent car dealers. We'll be cautious in our growth and maintain very tight underwriting standards but believe we are well positioned for the future years.

整合的所有活動部分都在按計劃進行，包括技術平台整合、數據整合、供應商成本整合等。我們對自己在汽車行業的競爭地位感到非常滿意，現在有能力為特許經營和獨立汽車經銷商提供服務。我們將謹慎對待我們的成長，並保持非常嚴格的承保標準，但相信我們在未來幾年處於有利地位。

In our credit card business, we added 122,000 new accounts and $84 million in receivables during the quarter. We've been measured in our credit card growth, given our cautious view of the environment, but we continue to invest in data analytics that help us run the business more efficiently and profitably as well as improved customer self-service features that enhance the digital user experience while also reducing cost.

在我們的信用卡業務中，本季我們增加了 122,000 個新帳戶和 8,400 萬美元的應收帳款。考慮到我們對環境的謹慎態度，我們已經衡量了信用卡的成長，但我們繼續投資於數據分析，以幫助我們更有效地經營業務並提高獲利能力，並改善客戶自助服務功能，從而增強數位化服務。使用者體驗的同時也降低了成本。

This has led to our service calls per customer being down more than 40% year over year as more customers are using the app to make payments, check balances, redeem a reward, and more. We're also launching and developing more online partnerships to broaden our acquisition channels, so when the time comes to accelerate growth, we are ready. We are confident that we have a differentiated card product that resonates well with our target customer, and we will continue to develop the business to position us for future expansion.

隨著越來越多的客戶使用該應用程式進行付款、查看餘額、兌換獎勵等，這導致我們每位客戶的服務呼叫次數同比下降了 40% 以上。我們也啟動和發展更多的線上合作夥伴關係，以拓寬我們的收購管道，因此，當加速成長的時候，我們已經做好了準備。我們有信心擁有能夠與目標客戶產生良好共鳴的差異化卡片產品，並且我們將繼續發展該業務，為未來的擴張做好準備。

Finally, let me touch on capital allocation. Our priorities remain unchanged. First and foremost, we invest in the business to position us for ongoing success, including making all the loans that meet our risk return terms, while also continuing to invest in new products and channels as well as data science and technology to further advance our competitive position.

最後，讓我談談資本配置。我們的優先事項保持不變。首先也是最重要的是，我們投資於業務，使我們能夠持續取得成功，包括發放所有符合我們風險回報條件的貸款，同時繼續投資新產品和管道以及數據科學和技術，以進一步提高我們的競爭力位置。

We are also committed to our regular dividend, which at $4.16 per share annually yields 9% at today's price. In the quarter, we repurchased about 420,000 shares for approximately $19 million. Share repurchases will be an important part of our capital return strategy in the years to come. The pace of future share repurchases will be determined by a number of factors, including our excess capital, capital needed for growth, economic conditions, and market timing.

我們也致力於定期派息，每股股息為 4.16 美元，以今天的價格計算，每年的股息率為 9%。本季度，我們以約 1,900 萬美元的價格回購了約 420,000 股股票。股票回購將是我們未來幾年資本回報策略的重要組成部分。未來股票回購的速度將取決於多種因素，包括我們的過剩資本、成長所需的資本、經濟狀況和市場時機。

With that, let me turn the call over to Jenny.

接下來，讓我把電話轉給珍妮。

Thanks, Doug. And good morning, everyone. Our third quarter was highlighted by the continued improvement in credit trends, high-quality originations growth, strong revenue growth, thoughtful expense management, and great execution of our balance sheet funding with our second ever unsecured social bond issuance.

謝謝，道格。大家早安。我們第三季的亮點是信貸趨勢的持續改善、高品質的創始成長、強勁的收入成長、周到的費用管理以及我​​們第二次無擔保社會債券發行對資產負債表融資的出色執行。

Third-quarter GAAP net income was $157 million or $1.31 per diluted share, down from $1.61 per diluted share in the third quarter of 2023. C&I adjusted net income was $1.26 per diluted share, down from $1.57 in the third quarter of 2023. Capital generation this quarter amounted to $211 million, which compares to $232 million in the third quarter last year, reflecting the impacts of the current macroeconomic environment on our net charge-offs, partially offset by higher revenues from portfolio growth.

第三季 GAAP 淨利潤為 1.57 億美元，即稀釋後每股收益 1.31 美元，低於 2023 年第三季稀釋後每股收益 1.61 美元。C&I 調整後攤薄每股淨利為 1.26 美元，低於 2023 年第三季的 1.57 美元。本季的資本產生量為 2.11 億美元，而去年第三季為 2.32 億美元，反映了當前宏觀經濟環境對我們淨沖銷的影響，部分被投資組合成長帶來的更高收入所抵銷。

Managed receivables finished the quarter at $24.3 billion, up $2.4 billion or 11% from a year ago. Adjusting for the acquisition of Foursight, our organic growth was $1.1 billion, up 5%. Demand for our product remains quite strong. Third-quarter originations of $3.7 billion were up 13% year over year. And as Doug discussed, this strong growth is the result of the constructive competitive environment along with our focused efforts to drive originations while maintaining our conservative underwriting posture.

本季末管理的應收帳款達 243 億美元，比去年同期增加 24 億美元，即 11%。根據收購 Foursight 進行調整後，我們的有機成長達到 11 億美元，成長 5%。對我們產品的需求仍然相當強勁。第三季的初始資金為 37 億美元，年增 13%。正如道格所討論的，這種強勁的成長是建設性競爭環境以及我們在保持保守承保姿態的同時集中精力推動創新的結果。

We are continuously analyzing our credit box for segments where we can expand or tighten, but there is no net change in our overall approach to our return requirements or credit appetite. We expect this origination growth to continue through the fourth quarter and feel very comfortable that we will end the year with at least $24.5 billion of receivables.

我們不斷分析我們的信用箱，尋找可以擴大或收緊的細分市場，但我們對回報要求或信用偏好的整體方法沒有淨變化。我們預計這種初始成長將持續到第四季度，並對年底我們將擁有至少 245 億美元的應收帳款感到非常滿意。

This growth in originations has been achieved while maintaining pricing discipline. Third-quarter consumer loan originations APR was 26.8%, up approximately 40 basis points since last quarter and 10 basis points over prior year. In fact, cumulatively, since the second quarter of 2023, we have raised pricing approximately 100 basis points. These pricing levels are above the average APR in our portfolio and will gradually support our yields going forward as the book matures.

原創數量的成長是在維持定價紀律的同時實現的。第三季消費貸款發放年利率為 26.8%，較上季上升約 40 個基點，較去年同期上升 10 個基點。事實上，自 2023 年第二季以來，我們已累積將定價提高了約 100 個基點。這些定價水準高於我們投資組合中的平均年利率，並且隨著帳簿的成熟，將逐漸支持我們的收益率。

You can see this starting to take hold in our third-quarter consumer loan yield of 22.1% which was up 15 basis points compared to the second quarter. And while consumer loan yield remains 10 basis points below prior year due to our expanded auto finance portfolio, the year-on-year compare has improved from last quarter.

您可以看到這一點開始在我們第三季度消費貸款收益率 22.1% 中體現出來，與第二季度相比上升了 15 個基點。儘管由於我們擴大汽車金融投資組合，消費貸款收益率仍比去年同期低 10 個基點，但年比比較較上季度有所改善。

Moving to revenue, this quarter, total revenue was $1.5 billion, up 8% compared to third-quarter 2023. Total revenue comprises interest income of $1.3 billion, which was up 9% year over year, driven by higher average receivables and other revenue of $181 million, down 1% from the prior year. Interest expense for the quarter was $299 million, up $34 million versus prior year, driven by an increase in average debt to support our receivables growth and modestly higher cost of funds since last year.

說到收入，本季總收入為 15 億美元，比 2023 年第三季成長 8%。總收入包括利息收入 13 億美元，年增 9%，這是由於平均應收帳款較高，其他收入為 1.81 億美元，比上年下降 1%。本季利息支出為 2.99 億美元，比去年同期增加 3,400 萬美元，原因是平均債務增加以支持我們的應收帳款成長，以及自去年以來資金成本小幅上漲。

It is worth noting that interest expense as a percent of receivables in the quarter was 5.2% down from 5.4% in the second quarter, which, as I mentioned last quarter, was elevated due to the timing of our issuance and use of those proceeds to proactively manage our debt maturity stack. Provision expense was $512 million, comprising net charge-offs of $432 million and an $80 million increase to our allowance, driven by the increase in receivables during the quarter. I will touch on losses in a bit more detail in a minute.

值得注意的是，本季利息支出佔應收帳款的百分比為5.2%，低於第二季的5.4%，正如我上季提到的，由於我們發行和使用這些收益的時間安排，利息支出有所上升。撥備費用為 5.12 億美元，其中包括 4.32 億美元的淨沖銷以及由於本季度應收帳款增加而增加的 8,000 萬美元的撥備支出。稍後我將更詳細地討論損失。

Policyholder benefits and claims expense for the quarter was $43 million compared to $48 million in third-quarter 2023, reflecting positive reserve adjustments from favorable claims performance in our portfolio. In the quarters ahead, we expect around $50 million for policyholder benefits and claims expense. Let's turn to slide 8 and look at consumer loan delinquency trends.

本季保單持有人福利和索賠費用為 4,300 萬美元，而 2023 年第三季為 4,800 萬美元，反映出我們投資組合中有利的索賠表現帶來的積極準備金調整。在未來幾個季度，我們預計保單持有人福利和索賠費用約為 5000 萬美元。讓我們翻到投影片 8，看看消費貸款拖欠趨勢。

Our 30- to 89-day delinquency on September 30, excluding Foursight, was 3.01%. This is down 27 basis points since the end of last year and up 4 basis points quarter over quarter, both of which are notably better than normal seasonal pattern as you can see on slide 9. If you adjust for the slower pace of growth on our book from our conservative credit box, our year-ove-year 30- to 89-day delinquency has improved notably as compared to last year.

截至 9 月 30 日，我們的 30 至 89 天拖欠率為 3.01%（不包括 Foursight）。自去年年底以來下降了 27 個基點，環比上升了 4 個基點，這兩個基點都明顯優於正常的季節性模式，如幻燈片 9 所示。如果您根據我們保守的信用箱中帳面成長速度放緩的情況進行調整，我們的 30 至 89 天拖欠率與去年相比已顯著改善。

These positive delinquency trends are indicators of future loss performance. As you know, as delinquency trends improve, charge-off trends will follow. So we're pleased that our active management of credit over the last two years is making a positive impact on our delinquency results today, and that should translate to improved loss performance in the quarters ahead.

這些正面的拖欠趨勢是未來損失表現的指標。如您所知，隨著拖欠趨勢的改善，沖銷趨勢也會隨之而來。因此，我們很高興過去兩年的積極信貸管理對我們今天的拖欠結果產生了積極影響，這應該會轉化為未來幾季損失績效的改善。

Our front book vintages, which we define as originations starting as of August 2022, now comprise 81% of total receivables as compared to 76% a quarter ago. We remain pleased with the quality and performance of the loans we are booking today, and the performance of the front book remains in line with expectations.

我們的前帳本年份（我們將其定義為自 2022 年 8 月起開始）現在佔應收帳款總額的 81%，而上一季為 76%。我們對今天預訂的貸款的品質和表現仍然感到滿意，並且前帳本的表現仍然符合預期。

It is also worth noting that while the back book makes up 19% of the total portfolio, it represents 37% of our 30-plus delinquencies. We continue to see the overall book transition to front book vintages, which should further benefit our delinquency and loss metrics going forward. Let's now turn to charge-offs and reserves as shown on slide 10.

另外值得注意的是，雖然帳簿佔總投資組合的 19%，但它占我們 30 多項拖欠的 37%。我們繼續看到整體書籍過渡到封面書籍年份，這應該進一步有利於我們未來的拖欠和損失指標。現在讓我們轉向沖銷和儲備，如幻燈片 10 所示。

C&I net charge-offs were 7.5% of average net receivables in the third quarter. That's down about 100 basis points from the second quarter and in line with our expectations and seasonal patterns in our portfolio. Consumer loan net charge-offs, which exclude credit card, were 7.3% in the quarter. We remain confident that consumer loan losses peaked in the first half of 2024, assuming a steady macroeconomic environment ahead.

第三季 C&I 淨沖銷占平均應收帳款淨額的 7.5%。這比第二季下降了約 100 個基點，符合我們的預期和投資組合的季節性模式。本季消費貸款淨沖銷（不包括信用卡）為 7.3%。假設未來宏觀經濟環境穩定，我們仍相信消費貸款損失將在 2024 年上半年達到高峰。

Recoveries remained steady and strong in the quarter, amounting to $79 million or 1.4% of receivables as we remain diligent in our strategies where we look to maximize recovery value. Loan loss reserve ended the quarter at $2.7 billion. Our reserves increased by $80 million in the quarter, driven by portfolio growth, while our reserve coverage remained steady at 11.5%. For the rest of the year, we expect to remain at approximately this coverage level, subject to any macroeconomic changes. Now let's turn to slide 11.

本季的回收率保持穩定和強勁，達到 7,900 萬美元，佔應收帳款的 1.4%，因為我們仍然努力實施我們的策略，力求最大限度地提高回收價值。本季末貸款損失準備金為 27 億美元。在投資組合成長的推動下，本季我們的準備金增加了 8,000 萬美元，而我們的準備金覆蓋率穩定在 11.5%。在今年剩餘時間裡，我們預計將保持在這一覆蓋水平左右，不受任何宏觀經濟變化的影響。現在讓我們轉向投影片 11。

Operating expenses were $396 million in the quarter, up 6% compared to a year ago driven by the acquisition of Foursight on April 1 and our continued investment for future growth. Our operating expense ratio was 6.5% in the quarter, down 28 basis points from third quarter a year ago and up modestly from last quarter.

本季營運費用為 3.96 億美元，較上年同期成長 6%，這得益於 4 月 1 日收購 Foursight 以及我們對未來成長的持續投資。本季我們的營運費用率為 6.5%，比去年第三季下降 28 個基點，比上季小幅上升。

As we mentioned on our last call, we are tireless in our focus on expense management, while also committed to investing for the future in new products, people, data science, and technology. And while the OpEx ratio may moderate from quarter to quarter, we expect it to continue to trend down over time. Now let's turn to funding and our balance sheet on slide 12.

正如我們在上次電話會議中所提到的，我們孜孜不倦地專注於費用管理，同時也致力於對新產品、人員、數據科學和技術的未來進行投資。雖然營運支出比率可能會逐季度放緩，但我們預計它會隨著時間的推移繼續呈下降趨勢。現在讓我們轉向投影片 12 上的資金和資產負債表。

During the third quarter, we issued a $750 million seven-year unsecured social bond at 7% and 8%. The offering this quarter was once again well executed and oversubscribed with a strong list of investors. We have no unsecured maturities until March 2026 and have excellent funding flexibility over the remainder of this year and next. Net leverage at the end of the third quarter was 5.7 times, comfortably within our 4 times to 6 times leverage range. Let me finish up briefly with slide 14, reviewing our 2024 priorities.

第三季度，我們以 7% 和 8% 的利率發行了 7.5 億美元的七年期無擔保社會債券。本季度的發行再次得到良好執行，並獲得了許多投資者的超額認購。我們在 2026 年 3 月之前沒有無擔保期限，並且在今年剩餘時間和明年擁有出色的融資彈性。第三季末的淨槓桿率為 5.7 倍，完全在我們的 4 倍至 6 倍槓桿範圍內。讓我用投影片 14 簡單回顧一下我們 2024 年的優先事項。

We expect to end the year with managed receivables of at least $24.5 billion above our original guidance. We expect revenue growth to be at the higher end of our range. Interest expense is expected to land at approximately 5.2% for the year, and we expect our full-year net charge-offs at the higher end of our range.

我們預計到年底管理的應收帳款將比我們最初的指導高出至少 245 億美元。我們預計收入成長將處於我們範圍的高端。預計今年利息支出將達到約 5.2%，我們預計全年淨沖銷額將處於我們範圍的高端。

Finally, we expect our operating expense ratio to be around 6.7%. Other than managed receivables, which is better than our original expectations, all of our current guidance metrics are within the range of expectations we have laid out at the beginning of the year, demonstrating the team's constant commitment to driving positive outcomes for our customers and strong financial performance for our shareholders.

最後，我們預計營業費用率約為 6.7%。除了管理應收帳款優於我們最初的預期之外，我們目前的所有指導指標都在我們年初制定的預期範圍內，這表明團隊始終致力於為客戶帶來積極成果，並且強勁我們股東的財務業績。

I'll conclude by saying we're pleased with our results this quarter. And as we look forward with a steady macroeconomic environment supporting these trends, in credit, origination, yields, and operating leverage, we believe we can drive significant capital generation growth in the future.

最後我要說的是，我們對本季的業績感到滿意。當我們期待穩定的宏觀經濟環境在信貸、起源、收益率和營運槓桿方面支持這些趨勢時，我們相信我們可以在未來推動顯著的資本產生成長。

With that, let me turn the call back over to Doug.

接下來，讓我把電話轉回給道格。

Thanks, Jenny. All of the work that we've done in the last two years to manage the business and serve our customers is showing up in the continued positive direction of credit performance. We are proud of how our experienced team has navigated the company through the many uncertainties affecting the non-prime consumer, demonstrating our long history and understanding of how to best serve our customers and drive our financial performance.

謝謝，珍妮。過去兩年我們在管理業務和服務客戶方面所做的所有工作都顯示出信用表現持續朝著正面的方向發展。我們經驗豐富的團隊帶領公司度過了影響非主要消費者的許多不確定性，這展示了我們悠久的歷史和對如何最好地服務客戶並推動我們的財務業績的理解，我們對此感到自豪。

We like our competitive positioning, including the growth potential of our core business and new products and believe we have many tailwinds in the business going forward. So while we're pleased with how the business is performing today, we're even more excited about the future. All of this is driven by the great team members of OneMain, who come to work every day to make a difference in the lives of our customers and to drive value for our shareholders.

我們喜歡我們的競爭定位，包括我們核心業務和新產品的成長潛力，並相信我們在未來的業務中擁有許多有利因素。因此，雖然我們對今天的業務表現感到滿意，但我們對未來更加興奮。所有這一切都是由 OneMain 優秀的團隊成員推動的，他們每天上班都是為了改變我們客戶的生活並為我們的股東創造價值。

With that, let me open it up for questions.

接下來，讓我開始提問。

(Operator Instructions) Terry Ma, Barclays.

（操作員指示）Terry Ma，巴克萊銀行。

Thank you. Good morning. Just almost a house keeping question to start off with. Does your net charge-off guidance range for the full year of 7.7% to 8.3% -- does that include the impact of the Foursight policy adjustment last quarter or not?

謝謝。早安.一開始幾乎就是家政問題。你們全年的淨沖銷指引範圍是否為 7.7% 至 8.3%？

That does include the impact of the Foursight policy adjustment last quarter, Terry. This is Jenny. Good morning.

這確實包括上季度 Foursight 政策調整的影響，特里。這是珍妮。早安.

Good morning. So it does not kind of strip out the incremental charge-offs from the policy adjustment is what you mean?

早安.所以你的意思是，它並沒有從保單調整中剔除增量沖銷？

Correct.

正確的。

Got it. Okay. That's helpful. And then I guess, just -- I guess when you guys constructed the guide at the beginning of this year, I'm assuming the base case was the midpoint. So any color you can kind of provide on what's driving the guide to be closer to the higher end of the range, whether or not it's driven by the front book or back book? Any color you can provide?

知道了。好的。這很有幫助。然後我想，我想當你們在今年年初建立指南時，我假設基本情況是中點。那麼，您可以提供什麼顏色來說明是什麼推動指南更接近範圍的高端，無論它是由封面書還是封底書驅動的？你可以提供任何顏色嗎？

Yes. We're coming in within our guidance. So we're happy with where we're landing. We shouldn't -- we don't think it should be surprising given the delinquency that we've seen in the past few quarters and how they drive our losses. We've provided that beginning of the year loss rates around and expected outcome, just like you said. And we saw some slower growth in the originations beginning of the year, and the macro environment did not improve much throughout the year. So all of that sort of driving where we're landing for the year in that expected outcome. It's in the range but at the higher end of the range.

是的。我們正在我們的指導範圍內。所以我們對我們的著陸點感到滿意。考慮到過去幾季我們看到的拖欠行為以及它們如何造成我們的損失，我們不應該感到驚訝。正如您所說，我們提供了年初的損失率和預期結果。我們看到年初的成長速度有所放緩，全年宏觀環境並沒有太大改善。因此，所有這些都推動我們今年實現預期結果。它在範圍內，但處於範圍的高端。

Got it. That's helpful. And then maybe just one more follow up. You indicated you expect charge-offs to peak in the first half of this year. Maybe provide some color on kind of just what gives you confidence of that going forward. Thank you.

知道了。這很有幫助。然後也許還需要再跟進一次。您表示預計沖銷將在今年上半年達到高峰。也許可以提供一些顏色，讓你對未來充滿信心。謝謝。

I think, really, when you look at delinquencies, they drive your charge offs about two quarters later. So really, what we're seeing is like the trends that we're seeing in delinquency. When you look at delinquency this quarter, we are relatively flat. But we would have been better than last year if you took into account growth math. And so we're liking that direction of travel, and you should see that start to translate into losses soon.

我認為，實際上，當您查看拖欠情況時，它們會在大約兩個季度後取消您的沖銷。事實上，我們所看到的就像我們所看到的犯罪趨勢一樣。當你看看本季的拖欠率時，我們相對持平。但如果考慮到成長數學，我們會比去年更好。所以我們喜歡這個方向，你應該會看到它很快就會開始轉化為損失。

And I think Terry, it's all the things we've been talking about, which is a much tighter credit box in the last couple of years. As it becomes a bigger part of our delinquency number, it then becomes a bigger part of our loss number. So I think this is all about how we've been just managing the business to a positive outcome.

我認為特里，這就是我們一直在談論的所有事情，這是過去幾年信貸緊縮的情況。當它在我們的拖欠數量中所佔的比例越來越大時，它就會在我們的損失數量中所佔的比例也越來越大。所以我認為這就是我們如何管理業務以取得正面成果的關鍵。

Michael Kaye, Wells Fargo.

麥可凱，富國銀行。

I have a question about the originations. They were a lot higher than our expectations, but it really didn't translate into higher loan balances for the quarter, at least compared to my projections. So I'm wondering, is there anything in that mix of originations, like perhaps a higher percentage of renewals or maybe more prepayments this quarter or some other factors I should consider?

我有一個關於起源的問題。它們比我們的預期高得多，但這實際上並沒有轉化為本季更高的貸款餘額，至少與我的預測相比是如此。所以我想知道，這種來源組合中是否有什麼東西，例如續訂百分比可能更高，或者本季可能有更多預付款，或者我應該考慮的其他一些因素？

I think so, Michael. We're happy with our originations. But as you know, we view growth as an outcome. So we have a tight credit box. We have a really good competitive positioning. Some of the competitors, especially banks, are still kind out of the non-prime market. We've been able to have price with our originations. And so we're happy to see in originations uptick. It's as expected, I think, in the numbers. So I'm not sure -- our team can just follow up with you about your translation of origination about balances, but there's nothing surprising there.

我想是的，麥可。我們對我們的起源感到滿意。但如您所知，我們將成長視為結果。所以我們的信用額度很緊張。我們擁有非常好的競爭定位。一些競爭對手，尤其是銀行，仍然友善地退出非主要市場。我們已經能夠對我們的產品定價。因此，我們很高興看到原創數量增加。我認為，從數字上看，這符合預期。所以我不確定 - 我們的團隊可以跟進您對餘額來源的翻譯，但這並不奇怪。

Okay. I wanted to talk a little bit about the asset yields, they're up nicely, I think, 15 basis points quarter on quarter. And someone asked last quarter, you thought they would be more flattish quarter on quarter. I was surprised to see them up so much. So was there anything that surprised to the upside on asset yields versus your expectations? And should we see that kind of momentum continue at least in the near term?

好的。我想談談資產收益率，我認為它們上漲得很好，季度環比上漲了 15 個基點。有人問上個季度，你認為他們會比季度更持平。看到他們漲得這麼厲害，我很驚訝。那麼，與您的預期相比，資產收益率的上升有什麼讓您感到驚訝的嗎？我們是否應該看到這種勢頭至少在短期內持續下去？

Yes, thanks. I'll take that. Our third-quarter yield was 22.1%. That was up about 15 basis points from the second quarter. On the second quarter, we've been talking about some of those pricing actions we've been able to make in the competitive environment starting to take hold. And really, those come through gradually and over time. And so we did start to see some of those come through. I think it's very hard to predict exactly when those are going to come through.

是的，謝謝。我會接受的。我們第三季的收益率為 22.1%。較第二季上升約 15 個基點。在第二季度，我們一直在討論我們在競爭環境中開始採取的一些定價行動。事實上，這些都是隨著時間的推移而逐漸實現的。所以我們確實開始看到其中一些已經實現。我認為很難準確預測這些何時會實現。

And most of those are coming from our personal loan portfolio, and that's the major driver for that 100 basis points increase since the second quarter of 2023 that I spoke about earlier. And so we've been -- in my mind, we've been talking about this for a while, and we're doing that while also growing our book and growing originations and growing our lower yielding and lower loss content auto finance book.

其中大部分來自我們的個人貸款組合，這是我之前談到的自 2023 年第二季度以來增長 100 個基點的主要驅動力。因此，在我看來，我們已經討論這個問題有一段時間了，我們在這樣做的同時，也增加了我們的書籍和原創內容，並增加了我們的低收益和低損失內容的汽車金融書籍。

So all of that is helping. And you're seeing it take time. For pricing to come through yield, I think you saw that little bump. I'd say in terms of where yields going, I wouldn't expect a major bump. But over time, you should start to see that pricing come through yield if we stay in this competitive environment.

所以所有這些都是有幫助的。你會發現這需要時間。為了透過收益率來定價，我想你已經看到了這個小小的波動。我想說，就殖利率走向而言，我預計不會大幅上漲。但隨著時間的推移，你應該開始看到，如果我們留在這個競爭環境中，定價是透過收益來實現的。

Vincent Caintic, BTIG.

文森特·凱恩蒂克，BTIG。

Hi. Good morning. Thanks for taking my questions. First one on credit, so very helpful credit commentary this morning. If you could maybe just a broad question, but at what point do you expect to see a year-over-year positive improvement to the net charge-off rate? And if you could also remind us and help us thinking about the typical seasonality that we should be expecting with net charge-off rate. Thank you.

你好。早安.感謝您回答我的問題。第一個信用評論，今天早上的信用評論非常有用。您可能只是問一個廣泛的問題，但您預計什麼時候會看到淨沖銷率比去年同期出現正面改善？如果您也能提醒我們並幫助我們思考我們應該預期的淨沖銷率的典型季節性。謝謝。

Yes, so let me take the second one first, Vincent, and I'll just start with we're not providing '25 guidance on this call. We'll come back with our fourth-quarter results and give a better sense of '25. But in terms of the loss seasonality, the first quarter is our typical low delinquencies where we have tax refunds. And that translates into what you're seeing in our losses now at the 7.52% in the third quarter.

是的，所以讓我先談談第二個，文森特，我首先要說的是我們沒有就這次電話會議提供 25 年的指導。我們將帶著第四季的業績回來，讓大家更了解 25 年。但就損失季節性而言，第一季是我們典型的低拖欠率，我們有退稅。這意味著我們第三季的虧損為 7.52%。

And we expect to see our delinquencies be better year on year soon, and they would have been better this quarter if we've been growing at a higher growth rate. So excluding growth math, they would have been better than last year. And then those translate into losses to later -- two quarters later. So I think I think that should really give you a sense of when you're going to see losses start to come down. But again, we're not going to give a specific guide on 2025 right now.

我們預計我們的拖欠率很快就會比去年同期有所改善，如果我們一直以更高的成長率成長，那麼本季的拖欠率會更好。因此，如果排除成長數學，它們會比去年更好。然後這些會轉化為後來的損失——兩個季度後。因此，我認為這確實應該讓您感覺到損失何時開始下降。但同樣，我們現在不會給出 2025 年的具體指南。

Okay. That's helpful. Thank you very much And then kind of relatedly, so it was nice to see that the origination volume did grow year over year. I'm just wondering how you think we should be thinking about that growth rate going forward. And we've been talking about the front-book, back-book dynamic for some time. I'm curious at what point do you think we should be primarily just talking about that front book and the positive trends from that. Thank you.

好的。這很有幫助。非常感謝，然後有點相關，所以很高興看到發起量確實逐年增長。我只是想知道您認為我們應該如何考慮未來的成長率。一段時間以來，我們一直在討論封面和封底的動態。我很好奇您認為我們應該在什麼時候主要討論那本前書以及其中的積極趨勢。謝謝。

Yes, I think we're pleased to see the origination's growth we had, as I mentioned earlier, Vincent. We're not managing to growth. It all starts with our credit box, and we're only going to originate loans where our customers can be successful and pay us back, and therefore we get paid back, so it's good for the company and the shareholders. And so we're not relaxing our credit box. We're actually keeping it quite tight right now.

是的，我認為我們很高興看到我們的起源的發展，正如我之前提到的，文森特。我們沒能實現成長。這一切都始於我們的信用箱，我們只會在客戶能夠成功並償還我們的情況下發放貸款，因此我們得到回報，所以這對公司和股東都有好處。因此，我們不會放鬆信用額度。我們現在實際上保持得很緊。

Then you put in marketing, having a great product at a fair price with a great value proposition, customer experience, the investments we're doing in digital, and we'll have the output that we have for originations. forward. So we like what we've seen. We have really good demand. It'll depend on market conditions, competitors, et cetera.

然後你投入行銷，以合理的價格提供優質的產品，並提供良好的價值主張、客戶體驗、我們在數位方面所做的投資，我們將獲得原創的產出。向前。所以我們喜歡我們所看到的。我們有非常好的需求。這將取決於市場狀況、競爭對手等。

John Hecht with Jefferies.

約翰·赫克特和杰弗里斯。

Good morning, guys. Thanks very much for taking my questions. Doug, you're talking about a fairly constructive competitive environment. I'm wondering, does that -- is that across all three product sets, the auto, the personal loans, and credit card? Or is there any differences that are worth pointing out?

早安，夥計們。非常感謝您回答我的問題。道格，你說的是一個相當有建設性的競爭環境。我想知道，汽車、個人貸款和信用卡這三類產品都是如此嗎？或者有什麼差異值得指出嗎？

Yes. No, it's a good question. I mean, a, we have a very tight and similar credit box across all three, which is, just to remind everyone, we have a 30% stress overlay in our credit box. That means we run our models based on what we're seeing in the market, and then we actually have an overlay that even if we move into a recession and there's an uptick in unemployment that we'll still need our 20% return thresholds.

是的。不，這是一個好問題。我的意思是，a，我們在這三個方面都有一個非常嚴格且相似的信用箱，這只是為了提醒大家，我們的信用箱中有 30% 的壓力疊加。這意味著我們根據我們在市場上看到的情況來運行我們的模型，然後我們實際上有一個覆蓋，即使我們陷入衰退並且失業率上升，我們仍然需要 20% 的回報門檻。

So we're quite tight. I think in each of those products, we've got plenty of demand, especially in the auto and card. We're modulating those pretty tightly because they're new products, testing in the market. We're only pursuing pockets that we feel very confident in. I think in the place where you can really see the market dynamics is in some of the affiliate sites where we make a loan offer and someone else takes the loan offer. That's most prevalent in our installment lending or personal loans business.

所以我們關係很緊張。我認為在每一種產品中，我們都有大量的需求，特別是在汽車和卡片領域。我們正在非常嚴格地調整這些產品，因為它們是新產品，正在市場中進行測試。我們只追求我們感到非常有信心的口袋。我認為，您真正可以看到市場動態的地方是在我們提供貸款報價而其他人接受貸款報價的一些聯盟網站中。這在我們的分期貸款或個人貸款業務中最為普遍。

There we see that we're winning a lot of business and we're doing it at attractive prices and we're doing it with higher credit quality customers. So that's where the bulk of what we're seeing. I think it's auto and card where such small players and we're challengers, and we're just growing that business that it's frankly less important because there is plenty of business for us to grow into. I think as we become a bigger player that will be more of a factor.

在那裡我們看到我們贏得了很多業務，我們以有吸引力的價格做到這一點，我們正在與信用品質更高的客戶做這件事。這就是我們所看到的大部分內容。我認為在汽車和信用卡領域，如此小的參與者和我們是挑戰者，我們只是在發展這項業務，坦白說，它不太重要，因為我們有很多業務可以發展。我認為，隨著我們成為更大的參與者，這將成為一個更重要的因素。

Okay. That's helpful. And then maybe just a related follow on to that is we've seen a lot of private credit enter the space with the various forward-flow agreements and just outright purchases of portfolios. How does that influence your strategic thinking? And does that also maybe over the course of time, affect the competitive dynamics?

好的。這很有幫助。然後，也許與之相關的是，我們看到大量私人信貸透過各種遠期流動協議和直接購買投資組合進入該領域。這對您的策略思維有何影響？隨著時間的推移，這是否也會影響競爭動態？

Yes. Look, we talk a lot about our balance sheet. And one of the reasons we put on long-term unsecured debt, and we have excess bank facilities that we rarely tap, and then we have a robust ABS program, is to have a fortress balance sheet. One, to make sure there's plenty of liquidity in any environment; but two, so we can keep doing all of the lending through any cycle.

是的。聽著，我們談論了很多關於我們的資產負債表的事情。我們持有長期無擔保債務、我們擁有很少動用的過剩銀行信貸、以及強大的資產支持證券計劃的原因之一，就是擁有一個堡壘般的資產負債表。第一，確保在任何環境下都有充足的流動性；但是兩個，這樣我們就可以在任何週期中繼續進行所有貸款。

I think if you saw -- we've seen two cycles at least since I've been here, which is, the pandemic came and the capital market froze, a lot of people didn't have money to do lending. We actually went out and raised debt at the depths of the market when everyone was very worried.

我想如果你看到的話——自從我來到這裡以來，我們至少經歷了兩個週期，即大流行來了，資本市場凍結了，很多人沒有錢放貸。實際上，當每個人都非常擔心時，我們就在市場深處舉債了。

And then again, in mid-2022, a lot of those whole loan facilities dried up for competitors who do more just-in-time funding, and they really pulled out of the market. As you said, I think a lot of debt investors are now back in the market looking for yield, searching for yield. So I think it will be lumpy, and it will affect competitors who use that avenue a lot more than we do and have a different balance sheet strategy

然而，在 2022 年中期，對於提供更多即時融資的競爭對手來說，許多整體貸款便利性已經枯竭，他們真的退出了市場。正如你所說，我認為很多債務投資者現在又回到市場尋找收益，尋找收益。因此，我認為這將是不穩定的，它將影響那些比我們更多地使用該途徑並擁有不同資產負債表策略的競爭對手

Moshe Orenbuch, TD Cowen.

摩西·奧倫布赫，TD·考恩。

Great, thanks. I think you've gotten a bunch of questions on credit. And I think the message was pretty clear that delinquencies are getting better. But the reserve rate has been flat. Can you talk a little bit about your thoughts as to what it would take either from your portfolio or the macro environment or both to see that reserve rate start to come down?

太好了，謝謝。我想你已經收到了很多關於信用的問題。我認為這一訊息非常明確，即拖欠率正在改善。但準備金率一直持平。您能否談談您的想法，即您的投資組合或宏觀環境或兩者都需要採取什麼措施才能看到準備金率開始下降？

Thanks, Moshe. You're right, this quarter, our reserve -- it actually -- it increased by $80 million that reflected the growth in our portfolio. There was no change in our coverage rate, and we feel pretty good about our reserve levels today. I wouldn't expect anything to change materially this year. We have a conservative stance to reserve levels. Any change in reserves really dependent on consistent charge-offs, the direction of the macro, and sort of product mix and the portfolio. So before we release reserves, we want to feel very comfortable with where the book is and what the future looks like.

謝謝，摩西。你是對的，這個季度，我們的準備金——實際上——增加了 8000 萬美元，這反映了我們投資組合的成長。我們的覆蓋率沒有變化，我們對今天的準備金水準感覺非常好。我預計今年不會有任何重大變化。我們對儲備水平持保守立場。儲備的任何變化實際上取決於持續的沖銷、宏觀方向以及產品組合和投資組合的類型。因此，在我們釋放儲備之前，我們希望對這本書的現狀和未來的前景感到非常滿意。

Got it. And maybe following up on John's question before, I'm just wondering if perhaps there aren't -- there are other lenders out there who kind of use their turndowns and create reasonable -- larger revenue streams based upon selling them through those types of arrangements either directly or indirectly. And is that something that -- and by the way, and often continuing to service the loans, I mean, is that something that you've considered as a benefit from the possibility of higher participation by private equity firms?

知道了。也許跟進約翰之前的問題，我只是想知道是否有其他貸方利用他們的拒絕並透過這些類型的銷售創造合理的更大的收入流直接或間接的安排。順便說一句，我的意思是，您經常繼續償還貸款，這是否是您認為私募股權公司更多參與的可能性帶來的好處？

Yes. No, it's a good question, Moshe. We -- it's something we actually do a little bit of in our auto business. And there's a variation. Our whole loan sale is a variation on that where we sell off not necessarily turn downs but just have a different channel to funding. One of the reasons we built the pipes in our auto business, and we built the pipes to have whole loan sales, is to have that flexibility if we choose to pursue that path.

是的。不，這是個好問題，摩西。我們——這是我們在汽車業務中實際做的一些事情。還有一個變化。我們的整個貸款銷售是一種變體，我們出售的貸款不一定是拒絕的，只是有不同的融資管道。我們在汽車業務中建立管道的原因之一，以及我們建立管道以進行整體貸款銷售的原因之一是，如果我們選擇走這條路，就可以擁有這種靈活性。

So it's definitely something we thought about. It's always trade-off about what we want to put on our book, what's profitable? What are the market conditions? And then just bandwidth and how much we want to go chase stuff that we normally would turn down and figure out what kind of an incremental revenue and return we can get from that.

所以這絕對是我們考慮過的事情。我們總是想要權衡我們想在書中添加什麼內容，什麼是有利可圖的？市場狀況如何？然後就是頻寬以及我們有多少想要追逐我們通常會拒絕的東西，並弄清楚我們可以從中獲得什麼樣的增量收入和回報。

So it's a long answer to say, yes. We definitely would consider it. We do a little bit of it today, and we'll keep it on our radar. And if we think it's going to have good ROE and a good return for our shareholders, we'll do more of it.

所以這是一個很長的答案：是的。我們肯定會考慮它。我們今天做了一點點，我們會密切注意它。如果我們認為這將為我們的股東帶來良好的股本回報率和良好的回報，我們會做得更多。

Yes. I would just -- this is Jenny. I would just add -- I mean, it's the same point, but it's all about the economics. We're always reviewing options, whole loan sale programs, and what we could put off balance sheet. And that market is pretty competitive right now, and we like the economics of putting most -- putting loans on our own balance sheet. And we think that's the best return for shareholders. But we do have whole loan sales, and we do get that gain on sale and that servicing fee. And we like the funding flexibility that we have with the whole loan sale program. And so it's there if we want it, I'd say.

是的。我只是——這是珍妮。我想補充一點——我的意思是，這是同一點，但都是關於經濟學的。我們一直在審查各種選擇、整個貸款銷售計劃以及我們可以推遲資產負債表的內容。現在這個市場競爭相當激烈，我們最喜歡把貸款放在我們自己的資產負債表上的經濟。我們認為這對股東來說是最好的回報。但我們確實有整個貸款銷售，並且我們確實獲得了銷售收益和服務費。我們喜歡整個貸款銷售計劃的融資靈活性。所以我想說，如果我們想要它，它就在那裡。

Mihir Bhatia, Bank of America.

米希爾·巴蒂亞，美國銀行。

Thanks for taking my questions. I wanted to go back to the origination growth this quarter. And I was wondering, I know you've tightened your credit box pretty materially compared to two years ago, but was there any -- I imagine you're consistently looking at the box and making changes at the edges.

感謝您回答我的問題。我想回到本季的原創成長。我想知道，我知道與兩年前相比，你已經大大收緊了你的信用箱，但是有沒有——我想你一直在關注信用箱並在邊緣進行改變。

Was there any type of loosening, any type of -- you're seeing the environment get better, getting more confident. So you feel like you can maybe start underwriting just a tad bit deep or anything like that going on with the credit standards this quarter, where you may be loosening a little bit?

是否有任何類型的放鬆，任何類型的——你會看到環境變得更好，變得更有自信。所以你覺得你可能可以開始承保稍微深一點或類似的事情，本季的信貸標準會發生什麼，你可能會放鬆一點？

Thanks, Mihir. We did not loosen the box this quarter in aggregate. But we've mentioned before that we are always adjusting pockets based on geography, risk rate, product, channel, and we look at it in very micro detail. And both Jenny and I talked about earlier, some of the product innovation or investment in digital and technology we're doing.

謝謝，米希爾。本季我們總體上沒有放鬆限制。但我們之前提到過，我們總是根據地理位置、風險率、產品、通路來調整資金，我們會從非常微觀的細節來看它。珍妮和我之前都談到了我們正在做的一些產品創新或對數位和技術的投資。

Let me give you the example of one of the things we did at the end of the second quarter, which helped drive some growth this quarter, which is for three years, we've had access to payroll data. So you apply for a loan with us, you say you make $100,000. We used to ask you to upload documents to prove that, some pay stubs, and then we put it through fraud and make sure it's accurate.

讓我舉個例子，我們在第二季末所做的其中一件事幫助推動了本季的一些成長，三年來，我們可以存取薪資資料。所以你向我們申請貸款，你說你賺了 10 萬美元。我們過去常常要求您上傳一些文件來證明這一點，一些工資單，然後我們透過詐欺來確保其準確。

We now can actually, with a lot of employers, ask people to just get access directly. And we can tap in, and it's electronic. We're very careful when we introduce new data sources, especially for something like income verification. And so we put that in place three years ago. We watch the credit of that versus our traditional methods of upload and bringing it into the branch and inspecting documents.

實際上，我們現在可以與許多雇主一起要求人們直接獲得存取權限。我們可以利用它，而且它是電子的。當我們引入新的資料來源時，我們非常小心，尤其是對於收入驗證之類的資料來源。因此，我們在三年前就將其落實到位。我們會觀察其信譽與我們上傳並將其帶入分支機構並檢查文件的傳統方法的比較。

We saw the credit was good or even slightly better because it's actually quite reliable, are plugging into that. But it also saves -- it's a much better customer experience because you don't have to either upload a document or come into a branch or do something. So it creates a slight uptick in the pull-through rate, the number of customers who apply and go all the way through the process. And so it's product innovations like that, not any relaxing of credit, that we're always tweaking our business model just to improve it for the benefit of the customers and obviously for the benefit of business.

我們看到信用很好，甚至稍微好一些，因為它實際上非常可靠，正在插入其中。但它也節省了成本——這是一種更好的客戶體驗，因為您不必上傳文件或進入分公司或執行某些操作。因此，它使拉通率、申請並完成整個流程的客戶數量略有上升。因此，正是這樣的產品創新，而不是任何信貸放鬆，我們一直在調整我們的商業模式，只是為了改進它，以造福於客戶，顯然也造福於企業。

Got it. No, that is helpful and sounds quite interesting. Maybe just staying along the lines of just origination and consumer behavior, are you seeing consumers increasingly looking at -- I guess, coming to the question of the salience of the branch network, are you seeing consumers now looking to engage more online and through apps then coming into the branch or wanting to come into the branch? Can you just talk a little bit about that? Because it feels like your competition is really shifting more towards online. I think you mentioned banks are still pretty tight, and so just curious if you're seeing any impact from that.

知道了。不，這很有幫助，而且聽起來很有趣。也許只是沿著起源和消費者行為的思路，你是否看到消費者越來越多地關注——我想，談到分支網絡的顯著性問題，你是否看到消費者現在希望通過應用程序更多參與線上活動然後進入分行或想要進入分行？你能簡單談談這個嗎？因為感覺你的競爭確實更多地轉向在線。我認為你提到銀行仍然相當緊張，所以只是好奇你是否看到了任何影響。

Yes. I mean, look, post pandemic, a lot of people shifted behavior to digital, and we have the option for our consumers to interact with us on the app or on their browser. We actually can co-browse with you. We can take you through the documents. We can show you the disclosure of the different products. And so we have not seen in the last couple of years any major movements.

是的。我的意思是，看，大流行後，很多人將行為轉向數位化，我們的消費者可以選擇在應用程式或瀏覽器上與我們互動。我們實際上可以與您共同瀏覽。我們可以帶您瀏覽這些文件。我們可以向您展示不同產品的揭露情況。因此，過去幾年我們沒有看到任何重大變動。

But the vast majority of our customers start online. So they hear about us, apply online. Some of them choose to come into a branch because there are people who want to have that personal interaction. Some of them choose to do it on the phone with us and through their browser or through their app.

但我們的絕大多數客戶都是從網路開始的。所以他們聽說了我們並在線申請。他們中的一些人選擇加入分支機構，因為有人想要個人互動。他們中的一些人選擇透過我們的電話、瀏覽器或應用程式進行操作。

Our strategy is to be omnichannel. We think our branches are a huge competitive differentiator, which is we're in community, people know us, people drive by the branch and know we're a real company. Even people who never come into a branch say they like to know that we have a physical presence, and it gives them confidence in doing business with us.

我們的策略是全通路。我們認為我們的分支機構是一個巨大的競爭優勢，因為我們處於社區之中，人們了解我們，人們在分支機構的推動下，知道我們是一家真正的公司。即使是從未進入分支機構的人也表示，他們希望知道我們有實體存在，這讓他們對與我們開展業務充滿信心。

So I think it has some brand effects in addition to just the pure physical, get to know your customer. It makes it much easier to do a secured deal with someone else. And so trends are more people like to do more digitally. But we and some of the major banks also continue to be very focused on having a robust branch network.

所以我認為除了純粹的物理作用之外，它還具有一些品牌效應，了解你的客戶。它使得與其他人進行安全交易變得更加容易。因此趨勢是越來越多的人喜歡以數位化方式做更多的事情。但我們和一些主要銀行也繼續非常注重擁有強大的分行網路。

Rick Shane, JPMorgan.

里克·肖恩，摩根大通。

Thanks for taking my questions this morning. I'd like to talk a little bit about loan yields and mix shift and then think about this on a risk-adjusted receivables basis as well. So obviously, you guys have been successful high grading the portfolio, raising yields on what appear to be your higher-quality buckets. As the -- as you grow the alternative products, how should we think about the impact on yield? When could we start to see those products, particularly [Four Square], on a top-line basis start to drag a little bit on yield.

感謝您今天早上回答我的問題。我想談談貸款收益率和混合轉變，然後在風險調整後的應收帳款的基礎上考慮這一點。顯然，你們已經成功地對投資組合進行了高評級，提高了看似更高品質的投資組合的收益率。當您種植替代產品時，我們應該如何考慮對產量的影響？我們什麼時候才能開始看到這些產品，特別是[Four Square]，在營收基礎上開始對殖利率產生一點拖累。

But more importantly, when we think about bottom line, when we think about risk-adjusted return -- or excuse me, receivable adjusted returns, do you think that those three products will continue to generate comparable returns, particularly on a levered basis because you probably have a little bit more opportunity to leverage some of those new asset class?

但更重要的是，當我們考慮底線時，當我們考慮風險調整回報時——或者對不起，應收帳款調整回報時，您是否認為這三種產品將繼續產生可比較的回報，特別是在槓桿基礎上，因為您可能有更多機會利用其中一些新資產類別？

Yes, thanks. Let me take that. Listen, one, let me just start with our auto business today is about $2.3 billion of receivables of our book, which is $24.5 billion in receivables. So you're absolutely right. Today, it's included in our consumer loan yield. And as that mix shift -- as we grow in auto and it becomes a larger portion of our book, that will obviously have an impact on yield. But it's there today, and there are a lot of things that go into yield that are also there today.

是的，謝謝。讓我來吧。聽著，一，讓我先從我們今天的汽車業務開始，我們帳上的應收帳款約為 23 億美元，即應收帳款 245 億美元。所以你是完全正確的。今天，它已包含在我們的消費貸款收益率中。隨著這種組合的轉變——隨著我們在汽車領域的發展，它成為我們帳目中更大的一部分，這顯然會對產量產生影響。但它今天就在那裡，而且有很多進入產量的東西今天也在那裡。

So we've been very deliberate in taking pricing actions and increasing that APR on our consumer loan originations, both in our auto products and also in our personal loan products. And a lot of that is coming from personal loans, but some of it is also coming from auto. Our yields also continue to feel the impact of credit. And that will get better over time, of course, but that's depending on the rate and the pace of improvement. And then there is that impact from auto, which is that lower yielding, but lower loss content business.

因此，我們非常謹慎地採取定價行動，並提高我們的消費貸款發放的年利率，無論是在我們的汽車產品還是在我們的個人貸款產品中。其中很大一部分來自個人貸款，但也有一些來自汽車。我們的收益率也持續受到信貸的影響。當然，隨著時間的推移，情況會變得更好，但這取決於改進的速度和步伐。然後還有來自汽車的影響，即收益較低但損失內容較低的業務。

And so overall, over time, we like the returns that we're seeing there. In our Investor Day, we had laid out some of what we see in terms of our expectations on those returns. And credit card is similar to slightly higher than what we see on personal loans and auto is slightly lower. But I think in terms of thinking about where yield is going to go, you should expect to see even with the growth of the auto book, yields start to grow gradually over time.

總的來說，隨著時間的推移，我們喜歡在那裡看到的回報。在投資者日，我們列出了我們對這些回報的一些預期。信用卡的情況與我們在個人貸款中看到的略高類似，而汽車則略低。但我認為，在考慮收益率將走向何方時，您應該預期即使汽車帳簿成長，收益率也會隨著時間的推移開始逐漸增長。

Got it. Okay. That's helpful. And then just one follow up. If we can really try to dial in on this, if we think about the personal loan book, can you give us a sense on sort of a like-for-like basis in terms of your top-quality loan bucket, how much pricing power you've had in terms of incremental yield maybe over the last 12 months? I think that's what investors are kind of wondering.

知道了。好的。這很有幫助。然後只需進行一次跟進。如果我們真的可以嘗試解決這個問題，如果我們考慮一下個人貸款簿，您能否讓我們了解一下您的頂級貸款類別、定價能力有多大過去 12 個月裡您的收益增量是多少？我認為這正是投資人所想知道的。

I think the stack that is the best one there is the one that I gave earlier that is that we've raised our consumer loan portfolio around 100 basis points since the second quarter of 2023. A lot of that is coming from pricing power that's coming at the higher end. If you think about where we're making pricing adjustments, I mean, most of that is on the higher end of our book because there's less competition normally on the lower end of the book. So I think over time, in this type of environment, I'm not just sure there's that much more room to go on pricing. So again, this is more about seeing the pricing that we've already put in come through.

我認為最好的堆疊是我之前給出的堆疊，即自 2023 年第二季以來我們已將消費貸款組合提高了約 100 個基點。其中很大一部分來自高端的定價能力。如果你考慮我們在哪裡進行定價調整，我的意思是，其中大部分是在我們的書籍的高端，因為通常在書籍的低端競爭較少。因此，我認為隨著時間的推移，在這種環境下，我不僅確定定價還有更大的空間。再說一次，這更多的是為了看到我們已經制定的定價得以實現。

Mark DeVries, Deutsche Bank.

馬克‧德弗里斯，德意志銀行。

Yes, thank you. Understanding you don't want to give guidance on charge-offs yet for 2025, I think it will still be helpful for us to think about what you need to see for charge-offs to trend down year over year. Am I right in that thinking that the main thing we want to look at is improvement in delinquency trends relative to seasonality kind of similar to what you observed this quarter with the early-stage delinquencies only up 4 bps Q-on-Q versus the pre-pandemic average of 18. And if I'm right about that, could you also just talk about the trajectory you've seen over the last several quarters kind of in that trend relative to seasonality?

是的，謝謝。我知道您還不想就 2025 年的沖銷提供指導，但我認為，考慮一下您需要看到什麼才能使沖銷逐年下降，這對我們仍然有幫助。我是否正確地認為，我們想要關注的主要問題是相對於季節性的拖欠趨勢的改善，這與您本季度觀察到的情況類似，早期拖欠率僅比上一季度增長了 4 個基點-大流行平均為18。如果我的說法是對的，您能否也談談您在過去幾季中看到的相對於季節性的趨勢軌跡？

Yes. Listen, I mean, I think, first of all, I'd say -- the statement that was in there was pretty accurate. I mean, really, what we're looking at for next year's losses is the trajectory of delinquency. I think what you're hearing from us today was, number one, we saw peak losses in the first half of 2024, and we feel confident in that based on where our delinquencies are today.

是的。聽著，我的意思是，我想，首先，我想說──那裡的陳述非常準確。我的意思是，實際上，我們關註明年的損失是拖欠的軌跡。我認為您今天從我們這裡聽到的是，第一，我們在 2024 年上半年看到了損失的峰值，根據我們今天的拖欠情況，我們對此充滿信心。

We're very pleased with our front-book performance. So those messages are in line with our expectations. And that should further drive improvement in our delinquency performance as that becomes larger piece of the book. And so we're really seeing the benefits of those tightening actions we took early on, starting in August 2022 in our results.

我們對頭版的表現非常滿意。所以這些消息符合我們的預期。這應該會進一步推動我們的拖欠表現的改善，因為這將成為書中更重要的一部分。因此，從 2022 年 8 月開始，我們確實在業績中看到了我們早期採取的緊縮行動的好處。

And so it's really dependent on the pace of that improvement, pace of the increase in that front book, right, the macro environment. If the macro were to get better, obviously, that's helpful. And then trying to get a -- we're just trying to get across generally that we see the direction of travel moving in this direction, and we'll come back -- as we said, we'll come back with more loss guidance for 2025, when we come back with our fourth-quarter results.

因此，這實際上取決於改進的速度，前書的成長速度，對的，宏觀環境。如果宏觀變得更好，顯然這是有幫助的。然後試圖得到一個 - 我們只是試圖普遍地傳達我們看到旅行方向朝這個方向移動，我們會回來 - 正如我們所說，我們會帶著更多的損失指導回來2025 年，我們將公佈第四季度的業績。

Got it. Could you also remind us what your policies are on recoveries and what the outlook is going forward, just given kind of the larger inventory of charge-off receivables you have today?

知道了。您能否提醒我們，考慮到您目前擁有的較大的沖銷應收帳款庫存，您的回收政策以及未​​來的前景如何？

Yes, so we continue to see really strong recovery performance, positive trends. We remain above that pre-pandemic recovery level that we had. This quarter, we had $79 million in recoveries, which is about $9 million of post charge-off debt sales. That's in line with last quarter, so not much of a major shift. We're always looking to maximize returns and the value of internal versus external collections versus bulk sales and making decisions there. But overall, right now, we're quite pleased with our recovery and would expect something similar for the go-forward.

是的，所以我們繼續看到真正強勁的復甦表現和積極的趨勢。我們仍高於疫情前的恢復水準。本季度，我們收回了 7,900 萬美元，相當於沖銷後債務銷售的約 900 萬美元。這與上個季度一致，因此沒有太大變化。我們始終尋求最大化回報以及內部收藏與外部收藏與大量銷售的價值，並在那裡做出決策。但總的來說，現在我們對我們的復甦感到非常滿意，並期望未來能出現類似的情況。

John Rowan, Janney.

約翰羅文、珍妮.

Sorry, I was on mute. Can you hear me?

抱歉，我當時處於靜音狀態。你聽得到我嗎？

Yes, we can hear you, John.

是的，我們能聽到你的聲音，約翰。

Okay. So just on expenses, year to date, the expense ratio is 6.5%. You're staying with 6.7% for the year. But obviously, to get to 6.7% for the year, after 6.5% for the first nine months, that implies -- based on my math, a fourth quarter number of 7.3-ish. That would be well ahead of last year. I think I have 6.9% for an OpEx ratio. Can you just explain how we get to that OpEx number for the fourth quarter? And just if it is higher year over year, just compare that to your statement that the OpEx ratio will continue to improve over time. Thank you.

好的。僅就費用而言，年初至今，費用率為 6.5%。今年您將維持 6.7% 的利率。但顯然，在前九個月為 6.5% 之後，今年要達到 6.7%，這意味著——根據我的計算，第四季的數字為 7.3 左右。這將遠遠領先去年。我認為我的營運支出比率是 6.9%。您能否解釋一下我們如何得出第四季的營運支出數據？如果它逐年上升，只需將其與您的說法進行比較，即營運支出比率將隨著時間的推移繼續改善。謝謝。

Listen, I think we look at OpEx in terms of the trends, still multiple quarters, so I would just start there. When we talk about those trends, we're talking about where they look from a year-on-year perspective. Expenses can be lumpy, and we're focused on really running a good business, running it efficiently. We left our guidance unchanged around 6.7%, which has come in in that area.

聽著，我認為我們從趨勢的角度來看待營運支出，仍然是多個季度，所以我就從這裡開始。當我們談論這些趨勢時，我們談論的是從同比角度來看它們的情況。費用可能會很龐大，而我們專注於真正經營好的企業，有效率地經營它。我們將指導值維持在 6.7% 左右不變，該值已進入該區域。

So overall, yes, we're seeing great operating leverage in our business and think of it as a real strength. We've come down a lot from where we've been over the past couple of years. And so we're careful towards of our spending. I think in terms of the fourth quarter, I'm not going to -- your math sounds slightly higher than I would expect. But overall, I'd say we kept our guidance around that 6.7% range.

總的來說，是的，我們在我們的業務中看到了巨大的營運槓桿，並將其視為真正的優勢。與過去幾年相比，我們已經下降了很多。因此，我們對支出非常謹慎。我認為就第四季而言，我不會——你的數學聽起來比我預期的要高一些。但總體而言，我想說我們將指引保持在 6.7% 的範圍內。

Yes. And the only thing I'd add, John, is we're super careful, and I've talked about this before of not spending money on things that don't add value. So if there's a program that is put in place and it wasn't a good idea to get executed, we shut it down. If there's something that the company has been doing for a long time, we try to see how we're more efficient. And so we're always taking aggressive expense actions. That's one of the reasons you've seen our OpEx ratio go down. Second is it's just a great business model has inherent leverage.

是的。約翰，我唯一要補充的是，我們非常小心，我之前已經談到不要把錢花在不會增加價值的東西上。因此，如果有一個程式已就位，但執行起來不是一個好主意，我們就會將其關閉。如果公司已經做了很長時間的某件事，我們會試著看看如何提高效率。因此，我們總是採取積極的開支行動。這就是我們的營運支出比率下降的原因之一。其次，它只是一個具有內在槓桿作用的偉大商業模式。

But as you know, we're also running this business for the next three to five years making sure we have great competitive position and we create long-term share value. So we're also making investments. And I -- we never get too excited quarter on quarter and exactly. They can be lumpy expenses, but we're every day making sure we don't waste money, and we make investments. And that's our mentality.

但如您所知，我們還將在未來三到五年內經營這項業務，以確保我們擁有良好的競爭地位並創造長期的股票價值。所以我們也在進行投資。而我——我們每季都不會感到太興奮。它們可能是一筆巨額開支，但我們每天都在確保不浪費金錢，並且進行投資。這就是我們的心態。

All right. Thank you.

好的。謝謝。

With that, I think we are out of time. So I want to thank everyone for being here today. As always, feel free to follow up with our team. We're here and available. And I hope everyone has a great day.

至此，我想我們已經沒有時間了。所以我要感謝大家今天來到這裡。一如既往，請隨時關注我們的團隊。我們就在這裡，隨時待命。我希望每個人都有美好的一天。

Thank you. This does conclude today's OneMain financial third-quarter 2024 earnings call. Please disconnect your line at this time, and have a wonderful day.

謝謝。今天的 OneMain 2024 年第三季財務電話會議到此結束。請此時斷開線路，祝您有美好的一天。